CBO Puts Iran War Cost at $38.1 Billion
CBO Puts Iran War Cost at $38.1 Billion

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Arabic version: مكتب الميزانية في الكونغرس يقدّر كلفة الحرب مع إيران بـ38.1 مليار دولار

According to Cnbc, the U.S. war with Iran cost the Pentagon an estimated $38.1 billion through Aug. 1, an average of $246 million per day during its first five months. The nonpartisan Congressional Budget Office said the conflict could add $2 billion to $3 billion in Pentagon costs for every additional month of fighting.

More than half of the estimated spending was tied to replacing missiles and other munitions used in the conflict, CBO said. Increased flying hours accounted for another $10.4 billion, while higher fuel prices added $2.7 billion. The conflict began after President Donald Trump launched it Feb. 28, and it has contributed to higher fuel prices globally.

CBO warned that the war has used as much as two-thirds of U.S. missile-defense interceptors since June 2025, largely because of U.S. assistance defending Israel from Iranian attacks. Rebuilding the Defense Department’s interceptor inventory would probably take at least five years even with increased production, the agency said. It added that the shortage could be especially problematic in a conflict involving an adversary with large numbers of ballistic and cruise missiles, citing China and a potential conflict over Taiwan.

The agency also projected that disrupted oil and natural-gas shipments through the Strait of Hormuz and Red Sea shipping disruptions would keep raising consumer prices. By the first quarter of 2027, the war is expected to increase year-over-year personal consumption expenditures inflation by 0.5 percentage points and core PCE inflation by 0.3 points. Gasoline and other fuels are projected to account for about 40% of the conflict’s effect on consumer prices by early 2027.

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